Dublin, June 02, 2022 (GLOBE NEWSWIRE) -- The "South Africa Social Commerce Market Intelligence and Future Growth Dynamics Databook - 50+ KPIs on Social Commerce Trends by End-Use Sectors, Operational KPIs, Retail Product Dynamics, and Consumer Demographics - Q1 2022 Update" report has been added to ResearchAndMarkets.com's offering.
The social commerce industry in South Africa is expected to grow by 62.4% on annual basis to reach US$833.3 million in 2022.
The social commerce industry is expected to grow steadily over the forecast period, recording a CAGR of 51.9% during 2022-2028. The social commerce GMV in the country will increase from US$833.3 million in 2022 to reach US$9568.9 million by 2028.
In South Africa, the popularity of the social commerce sector has surged significantly over the last few quarters. While the global pandemic has resulted in a growing shift toward online shopping from e-commerce platforms, consumers in large numbers have also started purchasing products through social media platforms, such as Facebook, Instagram, and TikTok, in South Africa.
According to Q1 2022 Global Social Commerce Market Survey, nearly 60% of the consumers in South Africa purchased products online in 2021. As the number continues to increase year on year, social media platforms are increasing their investment in the sector to gain a bigger market share for themselves in South Africa. Consequently, the publisher expects more media budget to shift into social commerce solutions over the next four to eight quarters in the country.
Notably, social media platforms that have the contextual relevance and scale to drive product discovery are expected to lead the social commerce market in South Africa. In the United States, Facebook, along with Instagram and Pinterest, have provided consumers with the best product discovery feature and are therefore leading the social commerce market in the country. The same market expansion strategy can be expected from Facebook and Instagram in South Africa.
Facebook recorded the fastest growth in the social commerce space in South Africa
There has been a big rise in the number of consumers shopping through social media platforms in South Africa over the last four to eight quarters. Consequently, payments firms are experiencing a big rise in the number of payments coming to their gateway from social media platforms in the country. Among the various social media platforms that are operational in the social commerce market, Facebook recorded the biggest increase in order volumes and transactions. For instance,
- According to PayFast, the social media platform has experienced an increase of 200% year on year, leading to July 2021, in the payments directed from Facebook to its payment engine in South Africa.
With the firm continuously innovating with its social commerce features and investing in new product development, the publisher expects Facebook to dominate the social commerce sector in South Africa in the near term. However, with other firms also gaining traction among consumers, competition is expected to intensify over the next four to eight quarters. This growing competition among social media platforms will keep supporting the market growth from the short to medium-term perspective in the country.
TikTok is gaining a rapid foothold in the South African social commerce industry
In South Africa, Facebook remains the most popular platform among consumers across all age groups. However, the popularity of other social media platforms such as Instagram and TikTok is also growing in the country, especially among younger generation shoppers.
An estimated six million people are using TikTok in South Africa as of June 2021. Apart from its popularity as a social media platform, the firm has gained a rapid foothold as one of the leading social commerce platforms globally. The campaign #TikTokmademebuyit had over 2.3 billion views globally as of June 2021. This shows that the platform is gaining widespread popularity for its social commerce functionality globally as well as in South Africa.
With the firm expected to drive further innovation in the social commerce sector over the next four to eight quarters, the publisher expects the firm to gain further market share in the social commerce industry in South Africa from the short to medium-term perspective. This will subsequently support the growth of the overall social commerce industry in the country over the next four to eight quarters.
Reasons to buy
- In-depth Understanding of Social Commerce Market Dynamics: Understand market opportunities and key trends along with forecast (2019-2028).
- Insights into Opportunity by end-use sectors - Get market dynamics by end-use sectors to assess emerging opportunity across various end-use sectors.
- Develop Market Specific Strategies: Identify growth segments and target specific opportunities to formulate social commerce strategy; assess market specific key trends, drivers, and risks in the industry.
Key Topics Covered:
1 About this Report
2 South Africa Ecommerce Industry Market Size and Future Growth Dynamics by Key Performance Indicators
2.1 South Africa Ecommerce - Gross Merchandise Value Trend Analysis, 2019-2028
2.2 South Africa Ecommerce - Average Value Per Transaction Trend Analysis, 2019-2028
2.3 South Africa Ecommerce - Transaction Volume Trend Analysis, 2019-2028
3 South Africa Social Commerce Industry Market Size and Future Growth Dynamics by Key Performance Indicators
3.1 South Africa Social Commerce - Gross Merchandise Value Trend Analysis, 2019-2028
3.2 South Africa Social Commerce - Average Value Per Transaction Trend Analysis, 2019-2028
3.3 South Africa Social Commerce - Transaction Volume Trend Analysis, 2019-2028
4 South Africa Social Commerce Key Market Insight and Innovation
4.1 South Africa Social Commerce Key Trends and Drivers
4.2 South Africa Social Commerce Competitive Landscape and Growth Strategies
4.3 South Africa Social Commerce Market Share Analysis by Key Players
5 South Africa Social Commerce Industry Market Size and Forecast by Retail Product Categories
5.1 South Africa Social Commerce Market Share by Retail Product Categories (%), 2021 Vs. 2028
5.2 South Africa Social Commerce Clothing & Footwear - Gross Merchandise Value Trend Analysis, 2019-2028
5.3 South Africa Social Commerce Beauty and Personal Care - Gross Merchandise Value Trend Analysis, 2019-2028
5.4 South Africa Social Commerce Food & Grocery - Gross Merchandise Value Trend Analysis, 2019-2028
5.5 South Africa Social Commerce Appliances and Electronics - Gross Merchandise Value Trend Analysis, 2019-2028
5.6 South Africa Social Commerce Home Improvement - Gross Merchandise Value Trend Analysis, 2019-2028
5.7 South Africa Social Commerce Other - Gross Merchandise Value Trend Analysis, 2019-2028
6 South Africa Social Commerce Industry Market Size and Forecast by End Use Segment
6.1 South Africa Social Commerce Market Share by End Use Segment (%), 2021 Vs. 2028
6.2 South Africa Social Commerce B2B Segment - Gross Merchandise Value Trend Analysis, 2019-2028
6.3 South Africa Social Commerce B2C Segment - Gross Merchandise Value Trend Analysis, 2019-2028
6.4 South Africa Social Commerce C2C Segment - Gross Merchandise Value Trend Analysis, 2019-2028
7 South Africa Social Commerce Industry Market Size and Forecast by End Use Device
7.1 South Africa Social Commerce Market Share by End Use Device (%), 2021 Vs. 2028
7.2 South Africa Social Commerce by Mobile - Gross Merchandise Value Trend Analysis, 2019-2028
7.3 South Africa Social Commerce by Desktop - Gross Merchandise Value Trend Analysis, 2019-2028
8 South Africa Social Commerce Industry Market Size and Forecast by Location
8.1 South Africa Social Commerce Market Share by Location (%), 2021 Vs. 2028
8.2 South Africa Social Commerce by Cross Border - Gross Merchandise Value Trend Analysis, 2019-2028
8.3 South Africa Social Commerce by Domestic - Gross Merchandise Value Trend Analysis, 2019-2028
9 South Africa Social Commerce Industry Market Size and Forecast by Location
9.1 South Africa Social Commerce Market Share by Location (%), 2021 Vs. 2028
9.2 South Africa Social Commerce by Tier-1 Cities - Gross Merchandise Value Trend Analysis, 2019-2028
9.3 South Africa Social Commerce by Tier-2 Cities - Gross Merchandise Value Trend Analysis, 2019-2028
9.4 South Africa Social Commerce by Tier-3 Cities - Gross Merchandise Value Trend Analysis, 2019-2028
10 South Africa Social Commerce Industry Market Size and Forecast by Payment Method
10.1 South Africa Social Commerce Market Share by Payment Method (%), 2021 Vs. 2028
10.2 South Africa Social Commerce Payment by Credit Card - Gross Merchandise Value Trend Analysis, 2019-2028
10.3 South Africa Social Commerce Payment by Debit Card - Gross Merchandise Value Trend Analysis, 2019-2028
10.4 South Africa Social Commerce Payment by Bank Transfer - Gross Merchandise Value Trend Analysis, 2019-2028
10.5 South Africa Social Commerce Payment by Prepaid Card - Gross Merchandise Value Trend Analysis, 2019-2028
10.6 South Africa Social Commerce Payment by Digital & Mobile Wallet - Gross Merchandise Value Trend Analysis, 2019-2028
10.7 South Africa Social Commerce Payment by Other Digital Payment - Gross Merchandise Value Trend Analysis, 2019-2028
10.8 South Africa Social Commerce Payment by Cash - Gross Merchandise Value Trend Analysis, 2019-2028
11 South Africa Social Commerce Industry Market Size and Forecast by Consumer Demographics & Behavior
11.1 South Africa Social Commerce Spend Share by Age Group, 2021
11.2 South Africa Social Commerce Share by Income Level, 2021
11.3 South Africa Social Commerce Share by Gender, 2021
12 Further Reading
For more information about this report visit https://www.researchandmarkets.com/r/ocd036
